Volatility in the crude oil market

Crude prices this week were affected by market volatilities and due to the period of crisis that the sector is going through. In turn, OPEC cut its forecast for oil demand for 2021 due to high prices.

Brent crude futures fell to $ 81.66. US West Texas Intermediate (WTI) futures fell to $ 80.84 after hitting a session low of $ 80.20.

The Organization of the Petroleum Exporting Countries (OPEC) said in a monthly report that it expects oil demand to average 99.49 million barrels per day (bpd) in the fourth quarter of 2021, 330,000 bpd less than forecast. of last month. In turn, demand from China and India turned out to be lower than expected.

The Group of Petroleum Exporting Countries highlights the uncertainty in demand as a driver for maintaining supply unchanged.
According to data released Wednesday, US consumer price inflation rose above expectations. This has been largely driven by higher energy prices, leading to losses in Brent and WTI.
In the United States, ways to reduce costs and reverse the impact on inflation are being explored. One of the possibilities being evaluated is a ban on oil exports, a measure that, globally, could disrupt markets and discourage drilling. This measure is already known in the country, since 6 years ago a ban that lasted decades was lifted